Smosh Co-Founder Discusses Collapse of Defy Media!

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Digital companies have been pumping out great content for years. But this major company, which was the home to some power player channels is going under.

Defy media shocked employees after sending out a press release this statement: “Regretfully, Defy Media has ceased operations today. We are extremely proud of what we accomplished here at Defy and in particular want to thank all the employees who worked here. Unfortunately, market conditions got in the way of us completing our mission. Our main focus right now is to find homes for these great brands and people so that they can continue to thrill and delight their millions of viewers with as little interruption as possible.”

While the company cited “market conditions” as its reason for closing its doors, creators are questioning the reasoning..

Anthony Padilla, the face and creative vision behind SMOSH, left the channel last summer after leaving respectfully to focus on his own channel. He was very respectful to the company during his exit, but with everything that has gone down, he is no longer holding back.

Anthony explains the story from the very beginning.

In 2002, Anthony created a website called with Ian Hecox, which was the home of their own original comedy content and it gained a lot of popularity. In 2011, Anthony and Ian sold their brand to Alloy Digital, when then merged with Break Media in 2013 to become DEFY Media. According to Biti Codes, Lionsgate, Viacom and ABS Capital invested in the company and in 2016, raised $70 million from Wellington Management Co.

And all those people who they owe money to are speaking out on social media. One of their on-air talents, Ryland Adams tweeted, “I was forced to become a part of @defymedia’s MCN, meaning the Youtube money I work hard for filters through them. After they take a % of MY ads I then get paid MY money. This month I was NEVER paid. A bank took Defy’s money which so happens to be mine that I may never see again”


Chad Wild Clay posted: “Imagine receiving 421 Million views (between me and my wife, @VyQwaint’s channels) and DEFY keeping all of the adsense revenue.”

Creator and one of the co-founder of Vid Con, Hank Green said: “I’m also owed 2 months of ad revenue from @defymedia. I was told constantly that “payment will arrive by Friday.” Then they shut down. As a former managed partner, I can’t unlink my channel from them. I’ve made $0 on all content for the past 2 months. Including 2 sponsorships.”

Some lost up to half of their income or more. And if you’re wondering why they don’t go to another platform, revenue is up and down everywhere! However, Smosh and Clevver are not giving up.

Ian Hecox tweeted: “This doesn’t mean Smosh is going away. We’re already in the process of finding a new home and will update you all as soon as we can. Smosh has been enjoying record numbers lately, and this closure won’t stop us. The family that we’ve worked to build over 13 years is not going away….We hope to have some exciting news to share with you soon, but for now, please give your love to everyone involved at Smosh.”

Clevver’s Joslyn Davis said: “We also want to let you know that this closure doesn’t mean we’re going away,We are in the process of finding a new home for Clevver and will update you all as soon as possible.”

What do you think about this major upheaval? Let us know in the comments or on Twitter at @WhatsTrending.


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